Illinois income Deferred Compensation Deduction

TaxGuy20 — Wed, 11 Feb 2026 22:31:16 GMT

Where do I deduct my deferred compensation from my income in my Illinois return?

Re: Illinois income Deferred Compensation Deduction

RogerD1 — Thu, 12 Feb 2026 16:11:27 GMT

If you made contributions to a pretax deferred compensation plan, those are reported on your W-2 and are automatically not taxed as they are deducted from your the box 1 income, which should be equal to the income reported in box 16 of the W-2 for your Illinois wages.

If you received a 1099-R for distributions, enter that as normal in TurboTax. TurboTax will automatically remove that income from your Illinois taxable income on line 5 or your IL-1040 return. If using TurboTax download version, you can view your IL-1040 form by clicking on Forms at the top right, then look for your IL-1040 return in the left column and click on it to double check that the subtraction has been made.

topic Illinois income Deferred Compensation Deduction in Retirement tax questions

Illinois income Deferred Compensation Deduction

Re: Illinois income Deferred Compensation Deduction